{"id":62159,"date":"2026-07-18T15:25:04","date_gmt":"2026-07-18T09:55:04","guid":{"rendered":"https:\/\/itatonline.org\/digest\/ibm-global-services-india-p-ltd-v-dcit-2025-132-itr-217-bang-trib\/"},"modified":"2026-07-18T15:25:04","modified_gmt":"2026-07-18T09:55:04","slug":"ibm-global-services-india-p-ltd-v-dcit-2025-132-itr-217-bang-trib","status":"publish","type":"post","link":"https:\/\/itatonline.org\/digest\/ibm-global-services-india-p-ltd-v-dcit-2025-132-itr-217-bang-trib\/","title":{"rendered":"IBM Global Services India P. Ltd. v. DCIT (2025) 132 ITR 217 (Bang) (Trib.)"},"content":{"rendered":"<p style=\"margin: 0in;margin-bottom: .0001pt;text-align: justify;line-height: 150%\"><span lang=\"EN-IN\" style=\"font-family: &#039;Verdana&#039;,sans-serif\">Assessee, engaged in export of software solutions and maintenance services, was denied exemption under section 10A on the ground that export turnover brought into India was less than 75% of the total turnover of the software technology park unit, since AO considered only net inward remittances after deducting onsite expenses and sub-contractor payments, though CIT(A) held that payments to sub-contractors outside India did not affect the exemption claim and allowed the exemption. On appeal, the Tribunal held that in the absence of a definition of &#8220;export turnover&#8221; in section 10A for the relevant year, AO had erroneously borrowed the definition of &#8220;export turnover&#8221; from section 80HHE while ignoring the corresponding definition of &#8220;total turnover&#8221; therein, whereas expenditure incurred in foreign exchange in providing technical services outside India, being excluded from &#8220;total turnover&#8221;, must equally be excluded from &#8220;export turnover&#8221; so that both bear a consistent meaning; since section 10A is a beneficial provision intended to promote exports and confer a larger benefit than section 80HHE, AO was directed to compute the 75% of total sales on gross receipts under section 10A(2)(ia). (AY.2000-01)<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p> S. 10A : Free trade zone-Export-oriented units-Condition that exports not less than 75% of total sales-&#8220;Export turnover&#8221; and &#8220;total turnover&#8221;-Expenses incurred in foreign exchange in providing technical services outside India excluded from both-75% of total sales to be computed on gross receipts. [S. 10A(2)(ia), 80HHC, 80HHE]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[21],"tags":[],"class_list":["post-62159","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-gaz","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/62159","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=62159"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/62159\/revisions"}],"predecessor-version":[{"id":62160,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/62159\/revisions\/62160"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=62159"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=62159"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=62159"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}